by Maxine Joselow (Washington Post) The Senate voted Thursday to block California from enforcing a rule that would ban sales of new gasoline-powered cars in the state by 2035, a move that could have far-reaching implications for auto sales in a dozen states.
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The Senate voted 51-44 to pass a resolution blocking the California rule, which ranks as one of the nation’s most ambitious policies aimed at promoting electric vehicles. The House already passed the resolution, which now heads to Trump’s desk for his expected signature.
Under the Clean Air Act, California can receive a waiver from the Environmental Protection Agency to set tougher vehicle emissions standards than those of the federal government. California regulators approved a rule in 2022 that would phase out sales of new gas cars by 2035, and in December under President Joe Biden, the EPA granted the state a waiver to enforce the regulation.
Eleven other states have pledged to adopt California’s rule and end sales of gas cars within their own borders by 2035. Together, the states account for about 40 percent of the U.S. auto market.
Republicans argue that these states are preventing consumers in the rest of the country from choosing what kind of cars to drive. Sen. Shelley Moore Capito (R-West Virginia) introduced a resolution to revoke California’s waiver under the Congressional Review Act, which allows lawmakers to nullify a regulation within 60 days of its enactment with a simple majority vote.
“This is not just a California problem — it is a nationwide assault on gas-powered cars,” said Sen. John Barrasso of Wyoming, the second-ranking Republican in the chamber. “The California mandates cover nearly 40 percent of all new cars in America.”
Barrasso added that he saw no conflict between supporting states’ rights and opposing California’s car rule.
“Wyoming is a states’ right state,” he told reporters Wednesday. “We pass laws, we set rules for our state. What we’re doing here today is dealing with a rule that … is subjected to the Congressional Review Act, and we plan to use it.”
But some environmental lawyers and advocates said Congress is trampling on California’s long-standing authority.
Congress passed the Clean Air Act in 1970 “with almost unanimous bipartisan support on the basis that states would play a central role — federal standards would be the floor, not the ceiling,” said Michael Gerrard, who founded Columbia Law School’s Sabin Center for Climate Change Law. “Lots of states were eager to have cleaner cars, and now that option is being taken away from them.”
Republicans, he added, “only talk about supporting states’ rights when they like what the states are doing.”
Conservative environmental lawyers, however, said California is overstepping its powers. They said the Golden State is effectively regulating auto pollution in the rest of the United States, since its stricter standards have a significant impact on automakers’ plans to produce and sell more electric vehicles nationwide.
“When one state is essentially trying to regulate activity that occurs outside of its state, that’s not something that is protected by states’ rights,” said Jeff Holmstead, a partner at Bracewell LLP and a former top EPA official under President George W. Bush. “States have jurisdiction within their own borders.”
In forging ahead with Thursday’s vote, Senate Republicans sidestepped legal opinions from two nonpartisan watchdogs. The Senate parliamentarian and the Government Accountability Office have concluded that California’s waiver is not subject to the Congressional Review Act, since it is not a regulation. READ MORE
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by Stephanie Kelly (Reuters) The U.S. Environmental Protection Agency has sent a proposed rule to the White House for review on the amount of biofuels that oil refiners must blend into their fuel beginning in 2026. Under the Renewable Fuel Standard, oil refiners must blend billions of gallons of biofuels into their fuel or buy tradable credits from those that do. READ MORE
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Excerpt from Ethanol Producer Magazine: U.S. EPA Administrator Lee Zeldin on May 14 confirmed the agency will “over the next few months” be completing a rulemaking process to set new Renewable Fuel Standard renewable volume obligations (RVOs).
Zeldin commented on the EPA’s RFS rulemaking plans during a hearing held by the Senate Committee on Appropriation’s Subcommittee on Interior, Environment and Related Agencies to review President Donald Trump’s fiscal year (FY) 2026 budget request for the EPA.
During the hearing, Sen. Deb Fischer, R-Neb., criticized the previous administration for missing RFS regulatory deadlines and setting RVOs for biobased-diesel too low. She asked Zeldin for an update on the EPA’s expected timeline for its next RFS RVO rulemaking.
Zeldin said the agency is “going to be going through the rulemaking process now over the next few months.” He also indicated the EPA plans to meet future statutory RFS rulemaking deadlines.
“Over the course of the next few months there is going to be an opportunity for the public to weigh in during a public comment period before a final decision is made,” he added, noting that many parties are already advocating for increased RVO levels.
Fisher also discussed the issue of E15, asking Zeldin if congressional action is the best solution to ensure the ability to sell E15 year-round. “That is the most durable and easiest solution to this issue,” Zeldin responded.
A full replay of the hearing is available on the Senate Committee on Appropriations website. READ MORE
Excerpt from Clean Fuels Alliance America: Today, Clean Fuels Alliance America thanked 28 House Members who sent a letter to President Donald Trump, encouraging the administration to adopt a timely, robust Renewable Fuel Standard rule for 2026 and beyond. The bipartisan letter was led by Reps. Ashley Hinson (R-IA) and Angie Craig (D-MN).
“A strong Set 2 will benefit our constituents by lowering prices at the pump, creating and maintaining U.S. biomanufacturing jobs, and driving economic growth,” the letter states. “A strong RVO will also support market growth for farmers at a time when global markets are experiencing uncertainty. The domestic biofuels industry stands ready to increase availability of affordable fuels options and support the administration’s goal of American energy dominance.”
The letter specifically supports a 2026 Biomass-based Diesel volume of 5.25 billion gallons and increasing volumes for future years, consistent with unified requests by Clean Fuels, other industry partners, and RFS stakeholders. It further asks the President to reject abuse of small refinery exemptions to protect demand for U.S. crops in the biofuel market, which is essential for farmers.
The letter continues, “Set the biomass-based diesel RVO at 5.25 billion gallons in 2026 and at increasing levels in future years (with an equivalent increase in total volumes), reflecting the rapid growth of renewable diesel and soybean processing capacity.”
Kurt Kovarik, Clean Fuels’ Vice President of Federal Affairs, added, “Biodiesel and renewable diesel production is an essential market for American farmers. Clean Fuels and its members thank Representatives Ashley Hinson and Angie Craig for leading this bipartisan effort. And we appreciate EPA Administrator Lee Zeldin’s commitment to getting the Renewable Fuel Standard rules back on schedule.
“RFS stakeholders are unified in asking EPA to set the 2026 RFS Biomass-based Diesel volume at 5.25 billion gallons, with appropriate growth for 2027 and beyond. That volume will support American agriculture and benefit U.S. consumers with lower fuel prices, more jobs, and increased economic growth.”
Letter on RFS Volumes to President Trump from 28 Representatives.
ABOUT CLEAN FUELS ALLIANCE AMERICA
Made from an increasingly diverse mix of resources such as recycled cooking oil, soybean oil, and animal fats, the clean fuels industry is a proven, integral part of America’s clean energy future. Clean Fuels Alliance America is the U.S. trade association representing the entire biodiesel, renewable diesel and sustainable aviation fuel supply chain, including producers, feedstock suppliers and fuel distributors. Clean Fuels receives funding from a broad mix of private companies and associations, including the United Soybean Board and state checkoff organizations. READ MORE
Excerpt from AgWeb: EPA submitted two major biofuel-related actions to the White House Office of Management and Budget (OMB) for review: its proposed rule for Renewable Volume Obligations (RVOs) for 2026 and beyond under the Renewable Fuel Standard (RFS), along with its final rule to partially waive the 2024 cellulosic biofuel mandate.
The conjecture (not confirmed by EPA or other sources) is that EPA would announce a biodiesel mandate of 4.65 billion gallons, at least 600 million gallons below recommendations from a coalition of oil and biofuels groups. The industry has previously requested a mandate between 5.25 billion and 5.75 billion gallons.
Perspective: 4.65 billion gallons would be a BIG jump from 3.35 billion gallons for 2025 and would be a floor... not a ceiling.
While the forward-looking RVOs draw long-term interest, the agency’s final decision regarding 2024 cellulosic requirements is also awaited. In a proposal issued December 2024, EPA suggested reducing the 2024 cellulosic biofuel volume requirement from 1.09 billion Renewable Identification Numbers (RINs) to 0.88 billion — a cut of 0.21 billion RINs. This partial waiver remained pending even after EPA extended the 2024 compliance reporting period earlier this year.
Meanwhile, The Trump administration plans to rule quickly on dozens of small U.S. refineries’ pending applications for exemptions from biofuel-blending requirements, EPA Administrator Lee Zeldin told lawmakers.
There are 161 applications for exemptions from the RFS pending after the Biden administration refrained from acting on them. READ MORE
Excerpt from Ethanol Producer Magazine: “Projected obligations should accurately reflect the availability of feedstocks and ongoing investments in production capacity,” the lawmakers wrote. “Now more than ever, it is essential to identify and promote opportunities, like the upcoming RVOs, that lower costs for consumers and support economic growth.
“Even before you took office, the EPA was months behind meeting the statutory deadline to set RVOs, which only exacerbated market instability,” they continued. “Domestic biofuel production facilities have already idled, and further delays in action could result in additional closures, putting Americans out of work and disrupting key markets for farmers.”
Within the letter, the House members note that strong RFS RVOs will lower prices at the pump while creating and maintaining U.S. biomanufacturing jobs and driving economic growth. “A strong RVO will also support market growth for farmers at a time when global markets are experiencing uncertainty. The domestic biofuels industry stands ready to increase availability of affordable fuels options and support the administration’s goal of American energy dominance,” they added.
The lawmakers ask Trump to ensure the implied RVO for conventional biofuel is set at least 15 billion gallons. The RVO for biomass-based diesel should be set at 5.25 billion gallons in 2026, increasing to higher levels in future years to reflect the rapid growth of renewable diesel and soybean processing capacity. In addition, the House members are urging Trump to reject any abuse of small refinery exemption (SRE) authority and ensure any legitimate SREs have their volumes accounted for in the RVOs to prevent lost demand in key markets for farmers.
The U.S. EPA has begun the rulemaking process to set the 2026 RVOs. The agency on May 14 delivered its proposed rule to set 2026 RFS RVOs to the White House Office of Management and Budget, kicking off the interagency review process. Also on on May 14, EPA Administrator Lee Zeldin confirmed the agency will “over the next few months” be completing a rulemaking process to set new RFS RVOs. READ MORE
Excerpt from Renewable Fuels Association: The Renewable Fuels Association today thanked a bipartisan group of 28 members of Congress, led by Reps. Ashley Hinson (R-IA) and Angie Craig (D-MN), who called on President Trump to adopt “timely, robust” renewable volume obligations for 2026 and beyond, and “reject abuse” of EPA’s small refinery exemption authority.
“With the U.S. Environmental Protection Agency’s proposed rulemaking for RVOs now under review at the White House, this is a critical moment to engage with the administration and make clear what’s at stake—both for the farm economy and for American energy independence,” RFA President and CEO Geoff Cooper said. “We’re grateful to Reps. Hinson, Craig, and their many colleagues for their leadership and strong commitment to advancing this important effort.”
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The lawmakers called on the Trump administration to take the following actions on the RVOs for 2026 and beyond:
- Set implied conventional biofuel RVOs of at least 15 billion gallons.
- Set the biomass-based diesel RVO at 5.25 billion gallons in 2026 and at increasing levels in future years (with an equivalent increase in total volumes), reflecting the rapid growth of renewable diesel and soybean processing capacity.
- Reject abuse of small refinery exemption (SRE) authority and ensure any legitimate SREs have their volumes accounted for in the RVOs to prevent lost demand in key markets for farmers.
Also signing the letter were Reps. Adrian Smith (R-NE), Sharice Davids (D-KS), Robin Kelly (D-IL), Mariannette Miller-Meeks (R-IA), Mark Alford (R-MO), Randy Feenstra (R-IA), Nikki Budzinski (D-IL), Dusty Johnson (R-SD), Michelle Fischbach (R-MN), Eric Sorensen (D-IL), Mike Flood (R-NE), Troy Carter (D-LA), Brad Finstad (R-MN), Tracey Mann (R-KS), Derek Schmidt (R-KS), Mike Bost (R-IL), Max Miller (R-OH), Ann Wagner (R-MO), Mark Pocan (D-WI), Shontel Brown (D-OH), Darin LaHood (R-IL), Ron Estes (R-KS), Sam Graves (R-MO), Mark Messmer (R-IN), Julie Fedorchak (R-ND) and Zach Nunn (R-IA). READ MORE
Excerpt from AgNewsWire: Environmental Protection Agency (EPA) Administrator Lee Zeldin faced members of the Senate Appropriations Committee Wednesday to answer questions about the agency’s 2026 fiscal year budget request, including as it relates to biofuels.
Senator Deb Fischer (R-NE) asked Zeldin about the need for a permanent legislative solution for the nationwide sale of year-round E15. “Is it true that, despite President Trump’s best efforts, if we want real certainty here for consumers, Congress has to act. Is that correct?” asked Fischer.
“That is the most durable and easiest solution to this issue,” responded Zeldin. “I’ve been in the position a little over 100 days, and I have had many, many, many meetings about this topic. And a lot of passionate advocacy from, including you, Senator, and your colleagues and your constituents. If Congress was to finalize a long-term, durable solution, so much of that advocacy on your part, all of your time can be better spent fighting for other priorities of your constituents.”
Sen. Fischer also asked Zeldin for an update on when EPA might release Renewable Volume Obligations under the Renewable Fuel Standard. “We are going to be going through a rule making process now over the course of the next few months,” said Zeldin. “We did inherit a blown deadline. We’re looking to not only resolve that deadline in setting RVOs, but to also look to the future and to operate going forward in a way where we don’t blow any deadlines moving forward. So over the course of the next few months, there’s going to be an opportunity for the public to weigh in during a public comment period before a final decision is made.”
Listen to the exchange here:
Sen. Fischer questions EPA Admin Lee Zeldin 5:36 READ MORE